The General Motors partnership with Amazon provides an opportunity to generate revenue and profitability for GM, and an efficient way to deliver the online retailer’s packages to more than seven million GM vehicles.
Using vehicle and passenger data would empower automakers to collect revenue on everything from package delivery and software updates to route planning and insurance analytics to reduce costs.
“We believe that investors do not fully grasp the potential for auto companies to monetize their position as ‘landlords’ of mobile real estate and the primary owners of vehicle and passenger data,” Morgan Stanley says. “The end state of the connected car business model is that car companies are highly incentivized to keep as many cars switched ‘on’ as possible.”
Read the article at The Detroit News.
